Concerns regarding fossil fuel supply and environmental impacts of their use have stimulated sustained interest in the development of sustainable renewable transportation fuels. Drop-in fuels can be obtained from the catalytic conversion of lipids or fatty acids from oilseed crops, oleaginous (oil-producing) algae or various microorganisms. The oil contents in the oleaginous microorganisms of bacteria, yeast, and filamentous fungi are usually more than 20% of the cells masses (Thevenieau & Nicaud, 2013). Some of microorganisms have been employed for commercial production of various nutrition oils, such as docosahexaenoic acid (DHA), eicosapentaneoic acid (EPA), gamma linolenic acid (GLA), and arachidonic acid (ARA), which demonstrates the feasibility of large-scale production of commercial oils (Sitepu et al, 2014b). The use of oleaginous fungi for lipid production has been studied in genera such as Candida, Cryptococcus, Lipomyces, Mortierella, Rhodosporidium, Rhodotorula, Rhizpus, Trichosporon, and Yarrowia (Beopoulos et al, 2009; Boulton & Ratledge, 1984; Gill et al, 1977; Rattray et al, 1975; Sitepu et al, 2014a; Starkey, 1946; Streekstra, 1997). The oleaginous yeast is appealing in regard to their use of lignocellulose derived sugars for conversion to lipids and other chemicals. In particular, Lipomycetaceae family such as, Lipomyces doorenjongii, Lipomyces kononenkoae, Lipomyces lipofer, Lipomyces smithiae, Lipomyces suomiensis, Lipomyces starkeyi and Lipomyces tetrasporus can accumulate lipid at up to 70% of its dry weight (Cullimore & Woodbine, 1961; Oguri et al, 2012; Starkey, 1946; Van Rensburg et al, 1995). They can utilize a variety of monosaccharides and disaccharides found in lignocellulosic biomass. The genome sequence of L. starkeyi has been determined by the Department of Energy Joint Genome Institute.